| Related: | Personal Finance•Tax•Inheritance Tax |
George Osborne likes to say "we're all in this together." But last week, Channel 4 revealed that he's avoiding paying tax. He pays accountants to help him find loopholes which Channel 4 reckon will help him dodge £1.6million. These kind of "legal tax dodges" cost the rest of us billions.
How can we trust George Osborne to do all he can to close tax loopholes when he uses the loopholes himself?
The government doesn't want to tackle tax dodging, nor does it want to genuinely tackle the millionaire bankers who continue to absolve themselves of any responsibility for the banking crisis. The Conservatives appear to support the super rich in their lifestyle choices, whilst making others pay for their mistakes.
Mr. Osborne tell me are we really all in this together?
Hmm.
Not just the Conservatives. What about Clegg's (Lib-Dem) years on the Euro gravy train? Ditto for Kinnock (Labour) as soon as he failed to get elected two decades ago. Pretty certain Blair (Labour) will be going to extensive lengths to protect his multi-million pound income too.
Politicians rarely - if ever - do anything that harms their own prosperity. And it seems the longer they are in power, the less likely they are to do so. The Conservatives ordered a pay cut for all MPs when they came to power this year (and last time they got in, Margaret Thatcher declined to take the Prime Minister's pay and only accepted the standard MP salary) but let's see if they're still cutting their pay and benefits in a couple of years time.
Leaders should be held to higher moral and social standards than those they govern, but this is sadly so rarely the case.
I remember one time in my life where I had just suffered redundancy and there was no work around. I lived on my own then and can honestly say I had never felt so on my own in all my life. I took a job working 15 hour nights for pennies 7 nights a week for 14 nights then had 2 nights off. I often reflect on what was probably the most depressing time in my life and this comes back to mind every time I hear these guys saying we are in it together. They really need to drop this saying as it will surely come back to haunt them. They come from a completly different world.
I think we are all in this together but we all have different perspectives so therefore don't all share the same problems. If you are a young mum, in Central London, renting a house you are being told now that you may be homeless as housing benefit will be capped, your child benefit will be limited, you'll have little chance of getting a mortgage and you'll be forced back to work possibly sooner than you'd wish. However, if you're middle aged, in secure employment, no dependant children, own your own home life looks a lot sweeter but you may still be facing lower interest on savings, delays in retirement etc. A pensioner on fixed income is facing a different set of issues. So yes, we're all aware that times are tough and changes will probably happen but we won't all be affeced equally.
Excellent point, roseangel! :-)
I feel you've missed the irony of the point.
I too would like to be in a position to employ accountants to prevent me from paying £1.6million. The super rich do not appear in your breakdown above. Yes, oridinary people are greatly affected in differing ways by the decisions of those whom govern us. But when the law makers and government ministers whom should lead by example and responsibility, exonorate themselves from paying their fair share then the burden is passed onto those whom suffer the most for the actions of the priviliged few. It is vital that loopholes in the revenue systems are closed to prevent widespread abuse, however, those encharged to do this on our behalf are shown to be abusing the system themselves, where is the fairness in that? Such abusers to the taxation system, impacts upon us all.
Well, I really don't have a problem with accountants finding loopholes so that their clients use legal ways of paying as little tax as possible. If the rules are badly written then there will always be people who will use this to reduce payment where possible. This is quite different from tax avoidance which is of course illegal. It's almost sure to be the better off that use accountants for this purpose as they have the most to gain or loose. It's down to HMRC and the government to tighten the rules if and when needed.
I'm pretty sure that most of the super rich UK residents are responsible people and pay their tax. It's pretty fashionable at the moment to dismiss the wealthy, in particular bankers and to tar them all with the same brush. Many of the wealthy in the UK are responsible for starting up and running big businesses employing many people and pay huge amounts of company as well as personal taxes. We need these people to stay in the UK and to run their businesses here too.
Yes, we are all in this together and we will all be paying for mistakes by bankers but also by the previous government that did not see or chose to ignore what was happening and spent money rather than putting some on one side as we are all urged to do as individuals.
Well said!
I completely agree! Finding loopholes is not illegal! If the government wanted to stop this they would get the rules changed! Yes the wealthy can only afford accountants but they pay a lot more tax and bring a lot more to the economy than I do!
We are all in this together the likes of Osbourne and Clegg to mention just two reap the rewards of legalised fiddling while the rest of us lower classes are robbed of our little income to satisfy these greedy uncaring imbecile's who have decieved the nation with false promises to obtain power.
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Mrs Thatcher in the early 80's said that it would be unfair for MP's to award themselves a pay rise given the need to curb spending, and so agreed to them being paid expenses. The rest, as they say, is history and a very shameful episode of history too!